High tariffs and staff shortages are holding back production recovery – Metinvest

The company's COO pointed out the main issues holding back Ukrainian industry

At the Forbes Ukraine Industrialists Forum, Metinvest Group Chief Operating Officer (COO) Olexander Myronenko outlined the key factors holding back the recovery of Ukrainian industry in wartime. According to him, the main challenges remain high electricity tariffs, a shortage of skilled labor, and complex logistics.

“The shortage of personnel at our enterprises is about 15-20%. It is compensated for by overtime, weekend work, and the involvement of contractors. This issue remains open, because mobilization is necessary to maintain the country’s defense capability, but at the same time, it limits the ability to increase production,” said Mironenko.

He also drew attention to the problem of tariffs set by state monopolies.

“We are constantly engaged in dialogue on this issue. Of course, I understand the need to raise tariffs, but such decisions must take into account the interests of big business so that private companies do not compensate for the inefficiency of state-owned enterprises. It is important to find compromises and work together to solve this problem,” the company’s COO emphasizes.

Logistical constraints related to port blockades and difficulties at the western borders remain among the main challenges, increasing costs and delivery times.

“Export revenues, which are critical to the entire Ukrainian economy, directly depend on the stability of logistics,” the top manager stressed.

Despite the difficulties, the company emphasizes the resilience of the industry.

“Our task is to maintain production and prepare the foundation for rapid growth after victory,” concluded Mironenko.

As previously noted by Metinvest CEO Yuriy Ryzhenkov, Ukraine needs investment security guarantees to restore confidence and attract capital, as well as open markets, primarily European ones. Without these factors, business will not be able to recover after the war.